Your first PIT advance payments: when to pay and how much in 2026

The first payment of an income tax advance is the moment when a sole trader business stops being theoretical. We explain the deadlines, the calculation formula, the differences between monthly and quarterly advances and what to do if you run short of money for the transfer.

Profais Team

Accounting firm in Łódź · KIBR member

15 March 2026 · updated 22 October 2026 · 5 min read

The first income tax advance is the moment when a sole trader business stops being theoretical: money leaves your account and goes to the tax office’s account. For most new entrepreneurs the first payment comes in February or April, depending on the chosen form of taxation and the cumulative income since the start of the year.

A PIT advance is part of the annual tax that you pay during the year, a kind of “deposit” for the tax authorities. The final settlement takes place in the annual return (PIT-36, PIT-36L or PIT-28), filed by the end of April of the following year. If you paid more during the year than the settlement shows, the tax office refunds the overpayment. If you paid less, you have to pay the difference.

Payment deadline: always by the 20th

For all forms of taxation (tax scale, flat tax, lump-sum tax) the deadline for paying the monthly advance is the same: by the 20th day of the month following the month the advance relates to.

Advance for January 2026: due by 20 February 2026
Advance for February 2026: due by 20 March 2026
Advance for March 2026: due by 20 April 2026

If the 20th falls on a Saturday, a Sunday or a public holiday, the deadline moves to the nearest working day (Article 12 of the Tax Ordinance Act). In 2026 the shifts affect, among others, the advance for May (20 June 2026 is a Saturday, so the deadline is Monday 22 June).

For a quarterly advance the deadline is the 20th day of the month after the end of the quarter:

Q1 (January–March): by 20 April 2026
Q2 (April–June): by 20 July 2026
Q3 (July–September): by 20 October 2026
Q4 (October–December): by 20 January 2027

How much to pay: formulas for the three forms

Tax scale

On the tax scale you get a tax-reducing amount of PLN 3,600, which corresponds to PLN 30,000 of tax-free income, so the first PLN 30,000 of annual income is effectively taxed at 0%. The 32% threshold is still PLN 120,000 of the tax base: the reducing amount lowers the tax, it does not move the threshold. You start paying an advance only in the month in which cumulative income since the start of the year exceeds this threshold.

The formula (simplified, without reliefs):

Income = revenue − costs − social insurance contributions paid (or you include them in costs). Advance on the scale = income since the start of the year × 12% − PLN 3,600 − advances already paid (above PLN 120,000 of income, 32% on the excess).

Flat tax of 19%

There is no tax-free amount. Every zloty of income is taxed from the first day of the business.

Advance on the flat tax = income since the start of the year × 19% − advances already paid. On the flat tax you can reduce income by the health insurance contributions paid, up to PLN 14,100 a year.

Registered lump-sum tax on recorded revenue

You calculate the advance on revenue, not on income, so you do not deduct costs. The rate depends on the industry (from 2% to 17%).

Lump-sum tax = (revenue − social insurance contributions paid − 50% of health insurance contributions paid) × the lump-sum tax rate.

Monthly or quarterly

Quarterly advances are available to:

Small taxpayers: that is, companies whose sales in the previous year did not exceed EUR 2 million (for 2026 the limit is PLN 8,517,000)
Those starting a business: in the year of the start and the following year

| Feature | Monthly advance | Quarterly advance | |-------|---------------------|--------------------| | Deadline | by the 20th of the following month | by the 20th after the end of the quarter | | Number of payments a year | 12 | 4 | | Cash flow | Evenly spread | Larger payments, less often | | Notification | The default form | Indicated in the annual return | | Who it is for | Companies with annual turnover > EUR 2 million | Small taxpayers, new companies |

Choosing quarterly advances does not require a separate application. You tick the box in the annual return for the year in which you use this form. Until you file the annual return, however, you should pay quarterly consistently if you have chosen this option.

day of the month: the fixed deadline for paying a PIT advance, whatever the form of taxation

What to do if you run short of money

The first trap for a new entrepreneur: you issue an invoice in March, the client pays in May, and the advance for March is due by 20 April. You calculate income on an accrual basis (from the invoice issue date), not on a cash basis (from the payment date).

Options if you do not have the money to pay:

Deferral of the deadline: an application to the head of the tax office (the application for a deferred payment date or payment in instalments, Article 48 of the Tax Ordinance Act), with a justification (illness, a break in payments from a business partner), filed before the payment deadline expires
Payment in instalments: a similar application, with the tax office’s decision usually giving 3–12 instalments and an extension fee (≈ 50% of tax interest)
Paying from a working capital loan: if you have an open line at a bank, it can be cheaper than late-payment interest (at the rate announced by the Minister of Finance: 200% of the NBP Lombard rate + 2%, not less than 8%)
Not paying: the worst option: late-payment interest at the rate announced by the Minister of Finance (200% of the NBP Lombard rate + 2%, not less than 8%) + the risk of enforcement after 3–6 months

How to pay: the tax micro-account

Since 2020 every taxpayer has an individual tax micro-account. You generate it with the “Micro-account Generator” service on podatki.gov.pl. The number is based on your NIP (tax identification number), so it does not change.

You pay the advances to your tax micro-account, which you generate on podatki.gov.pl.

One micro-account accepts PIT, CIT and VAT payments, so you do not need to know your tax office’s account number.

Summary

The first PIT advance does not have to be a source of stress. As long as you keep your register of revenue and costs up to date, the calculation takes a few minutes. At Profais we keep the revenue and expense ledger (KPiR) and full accounting for companies of every size in Łódź and the surrounding area. We calculate the advance and tell you the amount by the 10th day of the month, so that you have time to arrange the funds.

Sources: podatki.gov.pl/pit, PIT Act Article 44, Ministry of Finance Micro-account Generator.

FAQ

Frequently asked questions

By when do I pay the first PIT advance?

You pay the monthly advance by the 20th day of the month following the month it relates to. Example: the advance for January 2026 is due by 20 February 2026. If the 20th falls on a Saturday, a Sunday or a public holiday, the deadline moves to the nearest working day.

Do I have to pay advances straight away when I start as a sole trader?

Not always. You pay an advance only in the month in which your cumulative income since the start of the year exceeds the tax-free amount (on the tax scale, the tax-reducing amount of PLN 3,600 corresponds to PLN 30,000 of tax-free income). With the 19% flat tax and registered lump-sum tax you pay from the first zloty of income (flat tax) or revenue (lump-sum tax), as there is no tax-free amount.

Monthly or quarterly advances: which should I choose?

Quarterly advances are available to small taxpayers (revenue of up to EUR 2 million in the previous year) and to those starting a business. Quarterly advances give better cash flow and less paperwork, but each payment is larger. You report your choice in the annual return for the year in which you use this form, and no separate application is needed.